Bogota Financial Corp. Reports Results for the Three and Twelve Months Ended December 31, 2023
- None.
- Net income decreased by $3.1 million, or 161.9%, to a net loss of $1.2 million for Q4 2023 from net income of $1.9 million for Q4 2022.
- Total assets decreased by $11.8 million, or 1.2%, to $939.3 million at December 31, 2023 from $951.1 million at December 31, 2022.
- Return on average assets was 0.07% for the twelve-month period ended December 31, 2023 compared to 0.77% for twelve-month period ended December 31, 2022.
- Net interest margin decreased 133 basis points to 1.35% for Q4 2023 from 2.68% for Q4 2022.
Insights
The financial performance of Bogota Financial Corp. has shown a significant downturn in the reported period, with a net loss of $1.2 million compared to a net income of $1.9 million in the prior year. This substantial shift from profitability to loss is a critical indicator of the company's financial health and could affect investor confidence. The decrease in net income for the year is also noteworthy, dropping by over 90% from the previous year. These figures suggest that the company may be facing substantial headwinds that could impact its stock performance and valuation.
One of the most pressing concerns for Bogota Financial Corp. is the increase in funding costs, which have negatively impacted the net interest margin. This compression is a result of the elevated interest rates, which have raised the cost of interest-bearing liabilities significantly. The shift in deposit composition toward higher-costing certificates of deposit, as well as increased Federal Home Loan Bank advances, are contributing factors to the increased interest expense. These financial dynamics are crucial for stakeholders to consider when assessing the company's ability to generate income from its core banking operations in a rising interest rate environment.
The banking sector is sensitive to interest rate changes and Bogota Financial Corp.'s performance is a reflection of the broader economic landscape. The reported decrease in total assets, primarily due to a decrease in loans and securities, aligns with industry trends where banks are seeing reduced loan origination volumes in response to higher interest rates. The decline in total deposits, particularly in non-interest-bearing accounts, suggests a shift in consumer behavior, possibly due to the search for higher yields elsewhere. This could signal a competitive disadvantage in deposit gathering, which is a critical factor for liquidity and funding stability in banking.
Furthermore, the strategic initiatives mentioned, such as the sponsorship of a basketball program and the opening of a new branch, indicate an effort to enhance brand visibility and community engagement. However, the financial impact of these marketing strategies will need to be monitored closely to ensure they translate into tangible growth in customer base and deposit volumes, which are essential for reversing the current downward trend in profitability.
The reported financial results underscore the broader economic pressures on the banking sector, such as the impact of the Federal Reserve's monetary policy on interest rates. The increased cost of deposits and borrowing due to higher interest rates has squeezed the net interest margin, a key profitability metric for banks. This environment challenges the bank's interest income generation and cost management, which are crucial for long-term financial stability.
Additionally, the adoption of the Current Expected Credit Loss (CECL) accounting standard, which requires banks to estimate expected losses over the life of a loan, has led to a one-time adjustment in the bank's financials. This change reflects a more conservative approach to credit risk management and could affect the bank's provisions for credit losses in the future, potentially impacting earnings volatility.
On May 24, 2023, the Company announced it had received regulatory approval for the repurchase of up to 249,920 shares of its common stock, which was approximately
Other Financial Highlights:
-
Total assets decreased
$11.8 million 1.2% , to$939.3 million $951.1 million -
Cash and cash equivalents increased
$8.1 million 48.0% , to$24.9 million $16.8 million -
Securities decreased
$21.0 million 12.9% , to$141.5 million $162.5 million -
Net loans decreased
$4.3 million 0.6% , to$714.7 million $719.0 million -
Total deposits at December 31, 2023 were
$625.3 million $76.1 million 10.8% , as compared to$701.4 million $76.7 million $682,000 2.85% for 2023 from0.85% for 2022 due to higher interest rates and a larger percentage of deposits consisting of higher-costing certificates of deposit. -
Federal Home Loan Bank advances increased
$65.4 million 63.9% to$167.7 million $102.3 million -
Return on average assets was
0.07% for the twelve-month period ended December 31, 2023 compared to0.77% for twelve-month period ended December 31, 2022. -
Return on average equity was
0.46% for the twelve-month period ended December 31, 2023 compared to4.76% for the twelve-month period ended December 31, 2022. -
Upon adoption of the CECL method of calculating the allowance for credit losses on January 1, 2023, the Bank recorded a one-time decrease, net of tax, in retained earnings of
$220,000 $157,000 $152,000
Kevin Pace, President and Chief Executive Officer, said “Elevated interest rates have continued to negatively impact funding costs and our net interest margin. Our credit quality remains strong and our net interest margin compression is stabilizing. While the financial results for 2023 were disappointing, we are diligently implementing our strategic plan and taking the necessary steps to improve performance. We realized some significant one-time expenses in the 4th quarter of 2023 that will not impact the Bank going forward. Despite the challenges presented by the economic landscape, we continue to remain positive and resilient with our ability to navigate uncertainties. Growth remains a key focus as we remain committed to delivering value to our shareholders and customers.”
“The Bank recently embarked on an exciting journey becoming the official sponsor of the Fairleigh Dickinson University Men’s basketball program that achieved great success in last years’ NCAA tournament. The team now plays in the newly named Bogota Savings Bank Center. We are enthusiastic that this partnership will help grow the Bank brand and have a positive impact on our community. Our new branch in
Mr. Pace further stated, "I would like to express my gratitude to our talented team, whose unwavering dedication and hard work have been instrumental in our success. We look forward to building on this momentum, embracing new opportunities, and delivering sustained value to all our stakeholders in the years ahead."
Income Statement Analysis
Comparison of Operating Results for the Three Months Ended December 31, 2023 and December 31, 2022
Net income decreased by
Interest income increased
Interest income on cash and cash equivalents increased
Interest income on loans increased
Interest income on securities increased
Interest expense increased
Interest expense on interest-bearing deposits increased
Interest expense on Federal Home Loan Bank borrowings increased
Net interest income decreased
We recorded no provision for credit losses for the three months ended December 31, 2023 compared to a
Non-interest income increased by
For the three months ended December 31, 2023, non-interest expense increased
Income tax expense decreased
Comparison of Operating Results for the Twelve Months Ended December 31, 2023 and December 31, 2022
Net income decreased by
Interest income increased
Interest income on cash and cash equivalents increased
Interest income on loans increased
Interest income on securities increased
Interest expense increased
Interest expense on interest-bearing deposits increased
Interest expense on Federal Home Loan Bank borrowings increased
Net interest income decreased
We recorded a
Non-interest income increased by
For the twelve months ended December 31, 2023, non-interest expense increased
Income taxes decreased
Balance Sheet Analysis
Total assets were
Delinquent loans increased
Total liabilities decreased
Total stockholders’ equity decreased
About Bogota Financial Corp.
Bogota Financial Corp. is a
Forward-Looking Statements
This press release contains certain forward-looking statements about the Company and the Bank. Forward-looking statements include statements regarding anticipated future events and can be identified by the fact that they do not relate strictly to historical or current facts. They often include words such as “believe,” “expect,” “anticipate,” “estimate,” and “intend” or future or conditional verbs such as “will,” “would,” “should,” “could,” or “may.” Forward-looking statements, by their nature, are subject to risks and uncertainties. Certain factors that could cause actual results to differ materially from expected results include increased competitive pressures, changes in the interest rate environment, inflation, general economic conditions or conditions within the securities markets, potential recessionary conditions, real estate market values in the Bank’s lending area, changes in liquidity, including the size and composition of our deposit portfolio, including the percentage of uninsured deposits in the portfolio; changes in the quality of our loan and security portfolios, increases in non-performing and classified loans, monetary and fiscal policies of the
The Company undertakes no obligation to revise these forward-looking statements or to reflect events or circumstances after the date of this press release.
BOGOTA FINANCIAL CORP. CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION (unaudited) |
||||||||
|
|
2023 |
|
2022 |
||||
ASSETS |
|
|
|
|
||||
Cash and due from banks |
|
$ |
13,567,115 |
|
|
$ |
8,160,028 |
|
Interest-bearing deposits in other banks |
|
|
11,362,356 |
|
|
|
8,680,889 |
|
Cash and cash equivalents |
|
|
24,929,471 |
|
|
|
16,840,917 |
|
|
|
|
|
|
||||
Securities available for sale |
|
|
68,888,179 |
|
|
|
85,100,578 |
|
Securities held to maturity (fair value of |
|
|
72,656,179 |
|
|
|
77,427,309 |
|
Loans, net of allowance |
|
|
714,688,635 |
|
|
|
719,025,762 |
|
Premises and equipment, net |
|
|
7,687,387 |
|
|
|
7,884,335 |
|
Federal Home Loan Bank (“FHLB”) stock |
|
|
8,616,100 |
|
|
|
5,490,900 |
|
Accrued interest receivable |
|
|
3,932,785 |
|
|
|
3,966,651 |
|
Core deposit intangibles |
|
|
206,116 |
|
|
|
267,272 |
|
Bank owned life insurance |
|
|
30,987,851 |
|
|
|
30,206,325 |
|
Other assets |
|
|
6,731,500 |
|
|
|
4,888,954 |
|
Total assets |
|
$ |
939,324,203 |
|
|
$ |
951,099,003 |
|
|
|
|
|
|
||||
LIABILITIES AND STOCKHOLDERS' EQUITY |
|
|
|
|
||||
Liabilities |
|
|
|
|
||||
Deposits |
|
|
|
|
||||
Non-interest bearing |
|
$ |
30,554,842 |
|
|
$ |
38,653,349 |
|
Interest bearing |
|
|
594,792,300 |
|
|
|
662,758,100 |
|
|
|
|
625,347,142 |
|
|
|
701,411,449 |
|
|
|
|
|
|
||||
FHLB advances-short term |
|
|
37,500,000 |
|
|
|
59,000,000 |
|
FHLB advances-long term |
|
|
130,189,663 |
|
|
|
43,319,254 |
|
Advance payments by borrowers for taxes and insurance |
|
|
2,733,709 |
|
|
|
3,174,661 |
|
Other liabilities |
|
|
6,380,486 |
|
|
|
4,534,516 |
|
Total liabilities |
|
|
802,151,000 |
|
|
|
811,439,880 |
|
|
|
|
|
|
||||
Stockholders' Equity |
|
|
|
|
||||
Preferred stock |
|
|
— |
|
|
|
— |
|
Common stock |
|
|
132,792 |
|
|
|
136,989 |
|
Additional Paid-In capital |
|
|
56,149,915 |
|
|
|
59,099,476 |
|
Retained earnings |
|
|
92,177,068 |
|
|
|
91,756,673 |
|
Unearned ESOP shares (409,750 shares at December 31, 2023 and 436,945 shares at December 31, 2022) |
|
|
(4,821,798 |
) |
|
|
(5,123,002 |
) |
Accumulated other comprehensive loss |
|
|
(6,464,774 |
) |
|
|
(6,211,013 |
) |
Total stockholders' equity |
|
|
137,173,203 |
|
|
|
139,659,123 |
|
Total liabilities and stockholders' equity |
|
$ |
939,324,203 |
|
|
$ |
951,099,003 |
|
BOGOTA FINANCIAL CORP. CONSOLIDATED STATEMENTS OF OPERATIONS (unaudited) |
||||||||||||||||
|
|
Three Months Ended |
|
Year Ended |
||||||||||||
|
|
December 31, |
|
December 31, |
||||||||||||
|
|
2023 |
|
2022 |
|
2023 |
|
2022 |
||||||||
Interest income |
|
|
|
|
|
|
|
|
||||||||
Loans |
|
$ |
8,224,488 |
|
|
$ |
7,860,684 |
|
$ |
32,046,033 |
|
|
$ |
26,264,486 |
||
Securities |
|
|
|
|
|
|
|
|
||||||||
Taxable |
|
|
1,027,755 |
|
|
|
933,963 |
|
|
|
4,070,144 |
|
|
|
3,516,832 |
|
Tax-exempt |
|
|
13,135 |
|
|
|
45,882 |
|
|
|
91,428 |
|
|
|
161,187 |
|
Other interest-earning assets |
|
|
300,656 |
|
|
|
140,335 |
|
|
|
1,072,240 |
|
|
|
403,969 |
|
Total interest income |
|
|
9,566,034 |
|
|
|
8,980,864 |
|
|
|
37,279,845 |
|
|
|
30,346,474 |
|
Interest expense |
|
|
|
|
|
|
|
|
||||||||
Deposits |
|
|
5,245,865 |
|
|
|
2,180,832 |
|
|
|
18,023,772 |
|
|
|
5,106,517 |
|
FHLB advances |
|
|
1,382,244 |
|
|
|
759,476 |
|
|
|
4,282,603 |
|
|
|
2,162,217 |
|
Total interest expense |
|
|
6,628,109 |
|
|
|
2,940,308 |
|
|
|
22,306,375 |
|
|
|
7,268,734 |
|
Net interest income |
|
|
2,937,925 |
|
|
|
6,040,556 |
|
|
|
14,973,470 |
|
|
|
23,077,740 |
|
Provision (credit) for loan losses |
|
|
— |
|
|
|
150,000 |
|
|
|
(125,000 |
) |
|
|
425,000 |
|
Net interest income after provision (credit) for credit losses |
|
|
2,937,925 |
|
|
|
5,890,556 |
|
|
|
15,098,470 |
|
|
|
22,652,740 |
|
Non-interest income |
|
|
|
|
|
|
|
|
||||||||
Fees and service charges |
|
|
47,382 |
|
|
|
42,848 |
|
|
|
206,763 |
|
|
|
179,734 |
|
Gain on sale of loans |
|
|
— |
|
|
|
— |
|
|
|
29,375 |
|
|
|
86,913 |
|
Bank-owned life insurance |
|
|
207,453 |
|
|
|
184,373 |
|
|
|
781,526 |
|
|
|
694,900 |
|
Other |
|
|
27,711 |
|
|
|
28,801 |
|
|
|
121,371 |
|
|
|
162,126 |
|
Total non-interest income |
|
|
282,546 |
|
|
|
256,022 |
|
|
|
1,139,035 |
|
|
|
1,123,673 |
|
Non-interest expense |
|
|
|
|
|
|
|
|
||||||||
Salaries and employee benefits |
|
|
3,082,176 |
|
|
|
2,187,586 |
|
|
|
9,820,128 |
|
|
|
8,713,734 |
|
Occupancy and equipment |
|
|
359,937 |
|
|
|
356,872 |
|
|
|
1,474,107 |
|
|
|
1,390,718 |
|
FDIC insurance assessment |
|
|
98,525 |
|
|
|
58,210 |
|
|
|
418,215 |
|
|
|
220,210 |
|
Data processing |
|
|
251,485 |
|
|
|
212,497 |
|
|
|
969,398 |
|
|
|
1,132,790 |
|
Advertising |
|
|
95,681 |
|
|
|
124,424 |
|
|
|
465,064 |
|
|
|
492,859 |
|
Director fees |
|
|
141,639 |
|
|
|
192,862 |
|
|
|
619,650 |
|
|
|
800,611 |
|
Professional fees |
|
|
248,526 |
|
|
|
86,751 |
|
|
|
661,045 |
|
|
|
546,004 |
|
Other |
|
|
668,220 |
|
|
|
291,903 |
|
|
|
1,329,520 |
|
|
|
988,081 |
|
Total non-interest expense |
|
|
4,946,189 |
|
|
|
3,511,105 |
|
|
|
15,757,127 |
|
|
|
14,285,007 |
|
(Loss) income before income taxes |
|
|
(1,725,718 |
) |
|
|
2,635,473 |
|
|
|
480,378 |
|
|
|
9,491,406 |
|
Income tax (benefit) expense |
|
|
(547,958 |
) |
|
|
732,122 |
|
|
|
(162,157 |
) |
|
|
2,614,545 |
|
Net (loss) income |
|
$ |
(1,177,760 |
) |
|
$ |
1,903,351 |
|
|
$ |
642,535 |
|
|
$ |
6,876,861 |
|
Earnings (loss) per Share - basic |
|
$ |
(0.09 |
) |
|
$ |
0.14 |
|
|
$ |
0.05 |
|
|
$ |
0.51 |
|
Earnings (loss) per Share - diluted |
|
$ |
(0.09 |
) |
|
$ |
0.14 |
|
|
$ |
0.05 |
|
|
$ |
0.51 |
|
Weighted average shares outstanding - basic |
|
|
12,766,872 |
|
|
|
13,299,055 |
|
|
|
12,891,847 |
|
|
|
13,570,407 |
|
Weighted average shares outstanding - diluted |
|
|
12,766,872 |
|
|
|
13,330,553 |
|
|
|
12,891,847 |
|
|
|
13,576,934 |
|
BOGOTA FINANCIAL CORP. SELECTED RATIOS (unaudited) |
||||||||||||||||
|
|
At or For the Three Months Ended December 31, |
|
At or For the Twelve Months Ended December 31, |
||||||||||||
|
|
2023 |
|
2022 |
|
2023 |
|
2022 |
||||||||
Performance Ratios (1): |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Loss) return on average assets (2) |
|
|
(0.51 |
)% |
|
|
0.80 |
% |
|
|
0.07 |
% |
|
|
0.77 |
% |
(Loss) return on average equity (3) |
|
|
(3.43 |
)% |
|
|
5.42 |
% |
|
|
0.46 |
% |
|
|
4.76 |
% |
Interest rate spread (4) |
|
|
0.88 |
% |
|
|
2.47 |
% |
|
|
1.28 |
% |
|
|
2.58 |
% |
Net interest margin (5) |
|
|
1.35 |
% |
|
|
2.68 |
% |
|
|
1.71 |
% |
|
|
2.76 |
% |
Efficiency ratio (6) |
|
|
153.59 |
% |
|
|
55.76 |
% |
|
|
97.04 |
% |
|
|
59.03 |
% |
Average interest-earning assets to average interest-bearing liabilities |
|
|
115.71 |
% |
|
|
116.23 |
% |
|
|
116.95 |
% |
|
|
119.60 |
% |
Net loans to deposits |
|
|
114.29 |
% |
|
|
102.51 |
% |
|
|
114.29 |
% |
|
|
102.51 |
% |
Equity to assets (7) |
|
|
14.94 |
% |
|
|
14.80 |
% |
|
|
14.89 |
% |
|
|
16.06 |
% |
Capital Ratios: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Tier 1 capital to average assets |
|
|
|
|
|
|
|
|
|
|
15.24 |
% |
|
|
15.61 |
% |
Asset Quality Ratios: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Allowance for loan losses as a percent of total loans |
|
|
|
|
|
|
|
|
|
|
0.39 |
% |
|
|
0.36 |
% |
Allowance for loan losses as a percent of non-performing loans |
|
|
|
|
|
|
|
|
|
|
21.81 |
% |
|
|
136.32 |
% |
Net charge-offs to average outstanding loans during the period |
|
|
|
|
|
|
|
|
|
|
0.00 |
% |
|
|
0.00 |
% |
Non-performing loans as a percent of total loans |
|
|
|
|
|
|
|
|
|
|
1.79 |
% |
|
|
0.26 |
% |
Non-performing assets as a percent of total assets |
|
|
|
|
|
|
|
|
|
|
1.36 |
% |
|
|
0.20 |
% |
(1) |
Certain performance ratios for the three-months are annualized. |
(2) |
Represents net income divided by average total assets. |
(3) |
Represents net income divided by average stockholders’ equity. |
(4) |
Represents the difference between the weighted average yield on average interest-earning assets and the weighted average cost of average interest-bearing liabilities. Tax exempt income is reported on a tax equivalent basis using a combined federal and state marginal tax rate of |
(5) |
Represents net interest income as a percent of average interest-earning assets. Tax exempt income is reported on a tax equivalent basis using a combined federal and state marginal tax rate of |
(6) |
Represents non-interest expenses divided by the sum of net interest income and non-interest income. |
(7) |
Represents average stockholders’ equity divided by average total assets. |
LOANS
Loans are summarized as follows at December 31, 2023 and December 31, 2022:
|
|
2023 |
|
2022 |
||||
Real estate: |
|
|
|
|
||||
Residential First Mortgage |
|
$ |
456,647,592 |
|
|
$ |
466,100,627 |
|
Commercial and Multi-Family Real Estate |
|
|
175,443,080 |
|
|
|
162,338,669 |
|
Construction |
|
|
49,302,040 |
|
|
|
61,825,478 |
|
Commercial & Industrial |
|
|
6,658,370 |
|
|
|
1,684,189 |
|
Consumer: |
|
|
|
|
||||
Home equity and other |
|
|
29,423,503 |
|
|
|
29,654,973 |
|
|
|
|
|
|
||||
Total loans |
|
|
717,474,585 |
|
|
|
721,603,936 |
|
|
|
|
|
|
||||
Allowance for loan losses |
|
|
(2,785,950 |
) |
|
|
(2,578,174 |
) |
|
|
$ |
714,688,635 |
|
|
$ |
719,025,762 |
|
The following tables set forth the distribution of total deposit accounts, by account type, at the dates indicated (unaudited).
|
|
At December 31, |
||||||||||||||||||
|
|
2023 |
|
2022 |
||||||||||||||||
|
|
Amount |
|
Percent |
|
Average Rate |
|
Amount |
|
Percent |
|
Average Rate |
||||||||
|
|
(Dollars in thousands) |
||||||||||||||||||
Noninterest bearing demand accounts |
|
$ |
30,608 |
|
4.89 |
% |
|
— |
% |
|
$ |
38,653 |
|
5.52 |
% |
|
— |
% |
||
NOW accounts |
|
|
41,321 |
|
|
6.61 |
|
|
1.90 |
|
|
|
82,720 |
|
|
11.79 |
|
|
0.88 |
|
Money market accounts |
|
|
14,622 |
|
|
2.34 |
|
|
0.30 |
|
|
|
30,037 |
|
|
4.28 |
|
|
0.32 |
|
Savings accounts |
|
|
45,521 |
|
|
7.28 |
|
|
1.76 |
|
|
|
57,408 |
|
|
8.18 |
|
|
0.49 |
|
Certificates of deposit |
|
|
493,275 |
|
|
78.88 |
|
|
4.00 |
|
|
|
492,593 |
|
|
70.23 |
|
|
2.37 |
|
Total |
|
$ |
625,347 |
|
|
100.00 |
% |
|
3.42 |
% |
|
$ |
701,411 |
|
|
100.00 |
% |
|
1.82 |
% |
Average Balance Sheets and Related Yields and Rates
The following tables present information regarding average balances of assets and liabilities, the total dollar amounts of interest income and dividends from average interest-earning assets, the total dollar amounts of interest expense on average interest-bearing liabilities, and the resulting annualized average yields and costs. The yields and costs for the periods indicated are derived by dividing income or expense by the average balances of assets or liabilities, respectively, for the periods presented. Average balances have been calculated using daily balances. Nonaccrual loans are included in average balances only. Loan fees are included in interest income on loans and are not material.
|
|
Three Months Ended December 31, |
|||||||||||||||||||||
|
|
2023 |
|
2022 |
|||||||||||||||||||
|
|
Average |
|
Interest and |
|
Yield/ |
|
Average |
|
Interest and |
|
Yield/ |
|||||||||||
|
|
Balance |
|
Dividends |
|
Cost (3) |
|
Balance |
|
Dividends |
|
Cost (3) |
|||||||||||
|
|
(Dollars in thousands) |
|||||||||||||||||||||
|
|
(unaudited) |
|||||||||||||||||||||
Assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Cash and cash equivalents |
|
$ |
9,433 |
|
$ |
145 |
|
|
6.08 |
% |
|
$ |
2,962 |
|
$ |
30 |
|
3.98 |
% |
||||
Loans |
|
|
714,380 |
|
|
|
8,224 |
|
|
|
4.57 |
% |
|
|
717,096 |
|
|
|
7,861 |
|
|
4.35 |
% |
Securities |
|
|
133,241 |
|
|
|
1,041 |
|
|
|
3.12 |
% |
|
|
167,708 |
|
|
|
980 |
|
|
2.34 |
% |
Other interest-earning assets |
|
|
7,216 |
|
|
|
156 |
|
|
|
8.70 |
% |
|
|
6,327 |
|
|
|
110 |
|
|
6.99 |
% |
Total interest-earning assets |
|
|
864,270 |
|
|
|
9,566 |
|
|
|
4.40 |
% |
|
|
894,093 |
|
|
|
8,981 |
|
|
3.99 |
% |
Non-interest-earning assets |
|
|
56,543 |
|
|
|
|
|
|
|
|
53,969 |
|
|
|
|
|
||||||
Total assets |
|
$ |
920,813 |
|
|
|
|
|
|
|
$ |
948,062 |
|
|
|
|
|
||||||
Liabilities and equity: |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
NOW and money market accounts |
|
$ |
67,510 |
|
|
$ |
310 |
|
|
|
1.82 |
% |
|
$ |
122,136 |
|
|
$ |
177 |
|
|
0.57 |
% |
Savings accounts |
|
|
44,855 |
|
|
|
205 |
|
|
|
1.81 |
% |
|
|
57,038 |
|
|
|
57 |
|
|
0.40 |
% |
Certificates of deposit |
|
|
497,147 |
|
|
|
4,731 |
|
|
|
3.78 |
% |
|
|
468,138 |
|
|
|
1,947 |
|
|
1.65 |
% |
Total interest-bearing deposits |
|
|
609,512 |
|
|
|
5,246 |
|
|
|
3.41 |
% |
|
|
647,312 |
|
|
|
2,181 |
|
|
1.34 |
% |
Federal Home Loan Bank advances (1) |
|
|
137,445 |
|
|
|
1,382 |
|
|
|
3.99 |
% |
|
|
121,961 |
|
|
|
759 |
|
|
2.47 |
% |
Total interest-bearing liabilities |
|
|
746,957 |
|
|
|
6,628 |
|
|
|
3.52 |
% |
|
|
769,273 |
|
|
|
2,940 |
|
|
1.52 |
% |
Non-interest-bearing deposits |
|
|
34,835 |
|
|
|
|
|
|
|
|
36,105 |
|
|
|
|
|
||||||
Other non-interest-bearing liabilities |
|
|
1,454 |
|
|
|
|
|
|
|
|
2,296 |
|
|
|
|
|
||||||
Total liabilities |
|
|
783,246 |
|
|
|
|
|
|
|
|
807,674 |
|
|
|
|
|
||||||
Total equity |
|
|
137,567 |
|
|
|
|
|
|
|
|
140,388 |
|
|
|
|
|
||||||
Total liabilities and equity |
|
$ |
920,813 |
|
|
|
|
|
|
|
$ |
948,062 |
|
|
|
|
|
||||||
Net interest income |
|
|
|
$ |
2,938 |
|
|
|
|
|
|
|
$ |
6,041 |
|
|
|
||||||
Interest rate spread (2) |
|
|
|
|
|
|
0.88 |
% |
|
|
|
|
|
2.47 |
% |
||||||||
Net interest margin (3) |
|
|
|
|
|
|
1.35 |
% |
|
|
|
|
|
2.68 |
% |
||||||||
Average interest-earning assets to average interest-bearing liabilities |
|
|
115.71 |
% |
|
|
|
|
|
|
|
116.23 |
% |
|
|
|
|
||||||
1. |
Cash flow hedges are used to manage interest rate risk. During the three months ended December 31, 2023, the net effect on interest expense on the Federal Home Loan Bank advances was a reduced expense of |
2. |
Interest rate spread represents the difference between the weighted average yield on interest-earning assets and the weighted average cost of interest-bearing liabilities. |
3. |
Net interest margin represents net interest income divided by average total interest-earning assets. |
|
|
Twelve Months Ended December 31, |
||||||||||||||||||||
|
|
2023 |
|
2022 |
||||||||||||||||||
|
|
Average |
|
Interest and |
|
Yield/ |
|
Average |
|
Interest and |
|
Yield/ |
||||||||||
|
|
Balance |
|
Dividends |
|
Cost (3) |
|
Balance |
|
Dividends |
|
Cost (3) |
||||||||||
|
|
(Dollars in thousands) |
||||||||||||||||||||
|
|
(unaudited) |
||||||||||||||||||||
Assets: |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Cash and cash equivalents |
|
$ |
10,868 |
|
|
$ |
568 |
|
5.23 |
% |
|
$ |
25,044 |
|
|
$ |
117 |
|
0.47 |
% |
||
Loans |
|
|
713,799 |
|
|
|
32,046 |
|
|
4.49 |
% |
|
|
638,679 |
|
|
|
26,264 |
|
|
4.11 |
% |
Securities |
|
|
144,880 |
|
|
|
4,162 |
|
|
2.87 |
% |
|
|
167,987 |
|
|
|
3,678 |
|
|
2.19 |
% |
Other interest-earning assets |
|
|
6,389 |
|
|
|
505 |
|
|
7.90 |
% |
|
|
5,677 |
|
|
|
288 |
|
|
5.05 |
% |
Total interest-earning assets |
|
|
875,936 |
|
|
|
37,281 |
|
|
4.26 |
% |
|
|
837,387 |
|
|
|
30,347 |
|
|
3.62 |
% |
Non-interest-earning assets |
|
|
54,925 |
|
|
|
|
|
|
|
52,525 |
|
|
|
|
|
||||||
Total assets |
|
$ |
930,861 |
|
|
|
|
|
|
$ |
889,912 |
|
|
|
|
|
||||||
Liabilities and equity: |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
NOW and money market accounts |
|
$ |
85,663 |
|
|
$ |
1,399 |
|
|
1.63 |
% |
|
$ |
140,473 |
|
|
$ |
787 |
|
|
0.56 |
% |
Savings accounts |
|
|
48,351 |
|
|
|
580 |
|
|
1.20 |
% |
|
|
62,626 |
|
|
|
184 |
|
|
0.29 |
% |
Certificates of deposit |
|
|
498,129 |
|
|
|
16,046 |
|
|
3.22 |
% |
|
|
394,593 |
|
|
|
4,136 |
|
|
1.05 |
% |
Total interest-bearing deposits |
|
|
632,143 |
|
|
|
18,025 |
|
|
2.85 |
% |
|
|
597,692 |
|
|
|
5,107 |
|
|
0.85 |
% |
Federal Home Loan Bank advances (1) |
|
|
116,816 |
|
|
|
4,283 |
|
|
3.67 |
% |
|
|
102,458 |
|
|
|
2,162 |
|
|
2.11 |
% |
Total interest-bearing liabilities |
|
|
748,959 |
|
|
|
22,308 |
|
|
2.98 |
% |
|
|
700,150 |
|
|
|
7,269 |
|
|
1.04 |
% |
Non-interest-bearing deposits |
|
|
38,636 |
|
|
|
|
|
|
|
41,501 |
|
|
|
|
|
||||||
Other non-interest-bearing liabilities |
|
|
4,627 |
|
|
|
|
|
|
|
3,914 |
|
|
|
|
|
||||||
Total liabilities |
|
|
792,222 |
|
|
|
|
|
|
|
745,565 |
|
|
|
|
|
||||||
Total equity |
|
|
138,639 |
|
|
|
|
|
|
|
144,347 |
|
|
|
|
|
||||||
Total liabilities and equity |
|
$ |
930,861 |
|
|
|
|
|
|
$ |
889,912 |
|
|
|
|
|
||||||
Net interest income |
|
|
|
$ |
14,973 |
|
|
|
|
|
|
$ |
23,078 |
|
|
|
||||||
Interest rate spread (2) |
|
|
|
|
|
1.28 |
% |
|
|
|
|
|
2.58 |
% |
||||||||
Net interest margin (3) |
|
|
|
|
|
1.71 |
% |
|
|
|
|
|
2.76 |
% |
||||||||
Average interest-earning assets to average interest-bearing liabilities |
|
|
116.95 |
% |
|
|
|
|
|
|
119.60 |
% |
|
|
|
|
||||||
1. |
Cash flow hedges are used to manage interest rate risk. During the twelve months ended December 31, 2023, the net effect on interest expense on the Federal Home Loan Bank advances was a reduced expense of |
2. |
Interest rate spread represents the difference between the weighted average yield on interest-earning assets and the weighted average cost of interest-bearing liabilities. |
3. |
Net interest margin represents net interest income divided by average total interest-earning assets. |
Rate/Volume Analysis
The following table sets forth the effects of changing rates and volumes on net interest income. The rate column shows the effects attributable to changes in rate (changes in rate multiplied by prior volume). The volume column shows the effects attributable to changes in volume (changes in volume multiplied by prior rate). The net column represents the sum of the prior columns. Changes attributable to changes in both rate and volume that cannot be segregated have been allocated proportionally based on the changes due to rate and the changes due to volume.
|
|
Three Months Ended December 31, |
|
Twelve Months Ended December 31, |
||||||||||||||||||||
|
|
2023 Compared to Three |
|
2023 Compared to Twelve Months |
||||||||||||||||||||
|
|
Months Ended December 31, 2022 |
|
Ended December 31, 2022 |
||||||||||||||||||||
|
|
Increase (Decrease) Due to |
|
Increase (Decrease) Due to |
||||||||||||||||||||
|
|
Volume |
|
Rate |
|
Net |
|
Volume |
|
Rate |
|
Net |
||||||||||||
|
|
(In thousands) |
||||||||||||||||||||||
|
|
(unaudited) |
||||||||||||||||||||||
Interest income: |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Cash and cash equivalents |
|
$ |
93 |
|
|
$ |
22 |
|
|
$ |
115 |
|
|
$ |
(102 |
) |
|
$ |
553 |
|
|
$ |
451 |
|
Loans receivable |
|
|
(195 |
) |
|
|
558 |
|
|
|
363 |
|
|
|
3,248 |
|
|
|
2,534 |
|
|
|
5,782 |
|
Securities |
|
|
(975 |
) |
|
|
1,036 |
|
|
|
61 |
|
|
|
(554 |
) |
|
|
1,038 |
|
|
|
484 |
|
Other interest earning assets |
|
|
17 |
|
|
|
29 |
|
|
|
46 |
|
|
|
39 |
|
|
|
178 |
|
|
|
217 |
|
Total interest-earning assets |
|
|
(1,060 |
) |
|
|
1,645 |
|
|
|
585 |
|
|
|
2,631 |
|
|
|
4,303 |
|
|
|
6,934 |
|
Interest expense: |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
NOW and money market accounts |
|
|
(495 |
) |
|
$ |
628 |
|
|
$ |
133 |
|
|
|
(406 |
) |
|
|
1,018 |
|
|
|
612 |
|
Savings accounts |
|
|
(83 |
) |
|
|
231 |
|
|
|
148 |
|
|
|
(51 |
) |
|
|
447 |
|
|
|
396 |
|
Certificates of deposit |
|
|
128 |
|
|
|
2,656 |
|
|
|
2,784 |
|
|
|
1,339 |
|
|
|
10,571 |
|
|
|
11,910 |
|
Federal Home Loan Bank advances |
|
|
107 |
|
|
|
516 |
|
|
|
623 |
|
|
|
338 |
|
|
|
1,783 |
|
|
|
2,121 |
|
Total interest-bearing liabilities |
|
|
(343 |
) |
|
|
4,031 |
|
|
|
3,688 |
|
|
|
1,220 |
|
|
|
13,819 |
|
|
|
15,039 |
|
Net increase (decrease) in net interest income |
|
$ |
(717 |
) |
|
$ |
(2,386 |
) |
|
$ |
(3,103 |
) |
|
$ |
1,411 |
|
|
$ |
(9,516 |
) |
|
$ |
(8,105 |
) |
View source version on businesswire.com: https://www.businesswire.com/news/home/20240206735180/en/
Kevin Pace – President & CEO, 201-862-0660 ext. 1110
Source: Bogota Financial Corp.
FAQ
What is the ticker symbol for Bogota Financial Corp.?
What was the net loss reported by Bogota Financial Corp. for Q4 2023?
What was the net income reported by Bogota Financial Corp. for the twelve months ended December 31, 2023?
What was the change in total assets for Bogota Financial Corp. from December 31, 2022 to December 31, 2023?
What was the change in return on average assets from December 31, 2022 to December 31, 2023?
What was the net interest margin for Bogota Financial Corp. for Q4 2023?
